This solution can be purchased with the proceeds of retirement funds and from capital sourced from non-retirement funding investments/savings. It offers you a guaranteed income for life. Minimum investment amount is a lump sum of R10 000.
For investors with limited life expectancy or special estate planning requirements there is the option of Capital Preservation.
You can choose to receive your income:
- Annually.
- Bi-annually.
- Quarterly.
- Monthly.
Income Options
- Level Payments - You will receive the same amount at every payment date.
- Fixed Escalating Income Payments - Your payments increase annually by a predetermined amount. This can vary from between 1% - 8%.
- Inflation-linked Income Payments - Your income payments increase annually in line with inflation.
- Bonus Escalating Payments - This is only available if the capital is sourced from a retirement fund. Your payments increase annually with a bonus declared by Old Mutual based on the smoothed performance of a balanced portfolio of assets.
- Other Guaranteed Options - You specify a term for guaranteed payments from 0 -25 years. If you die before the term is up the income is paid to a nominated beneficiary.
- Joint Life - This option allows a second life covered (usually your spouse) to continue receiving income payments after your death for as long as they live.
Capital Preservation
This is an additional choice within Income for Life and can only be purchased with capital sourced from retirement funds. The minimum investment amount is R50 000. It is ideal for investors who have a limited life expectancy or who want to leave tax efficient capital inheritance to their heirs. It offers:
- A level, single life annuity.
- No guaranteed term.
- Monthly income payments.
- Death cover.